OpenAI's roughly $400 billion of buildout is funded by its own revenue offtake plus equity and debt it raises — not by circular financial engineering — and Nvidia's investment decision is entirely separate from and unconnected to that revenue relationship.
Responding to 'circular revenue' and roundtripping accusations, Jensen argues OpenAI's massive buildout is financed by real offtake revenue, equity, and debt — vetted by smart investors and lenders — and is entirely separate from Nvidia's unrelated decision to invest. ✦ AI generated
Jensen Huang · BG2 Pod · 2025-09-26 · original ↗
starts at this moment · 28:34
“what are the analysts on Bloomberg and otherwise getting wrong when they're hyperventilating about circular revenues or about roundtpping?”
10 gigawatts is like $400 billion, right? Something like that. And that $400 billion dollars will have to be largely funded by their offtake, right? Their revenue, which is growing exponentially. It has to be funded by their capital, the money they've raised through equity and whatever debt they can raise. Those are the three vehicles... there's the revenue side of it and has nothing to do with the investment side of it. The investment side of it is not tied to anything.
verbatim transcript · starts at 28:34
28:34>> 10 gigawatts is like $400 billion, right? Something like that. and and that $400 billion dollars will have to be largely funded by their offtake, >> right? Their revenue >> which is growing exponentially. It has to be funded by their capital, the money they've raised through equity and whatever debt they can raise. >> Those are the three vehicles. And the equity that they could raise and the
29:00debt that they could raise has something to do with the confidence of the revenues that they could sustain >> for sure. And so smart investors and smart lenders will consider all of these factors. >> Fundamentally, that's what they're going to do. >> That's their company. It's not my business. And of course, we have to stay very close to them to make sure that we build in support of their continued
29:22growth. >> Okay? And so, um, there's the revenue side of it and has nothing to do with the investment side of it. The investment side of it is not tied to anything. It's an opportunity to invest in them. And as we were mentioning earlier, this is likely going to be the next multi- trillion dollar hypers scale company. And who doesn't want to be an investor in that? You know, my only
29:42regret is that that they invited us to invest early on. >> I remember those conversations >> and we were so poor, you know, that we were so poor, we didn't invest enough, you know, and I should have given them all my money. And the reality is if you guys don't do your jobs and keep up with, you know, if if Ver Rubin doesn't turn into a good chip, they can go get
30:01other chips and put them in these data centers, >> right? There's no obligation that they have to use your chips and and like you said, you're you're looking at this as an opportunistic equity investment. The other thing I would say >> and we've made some great investments. I got to put it out there, you know, we invested in XAI, we invested in Corewave. >> Incredible. Yeah. >> Yeah. How smart was that?
30:21>> Yeah. As I go back to this, the other fundamental thing it seems to me is, you know, you're putting it out there. You're saying this is what we're doing. And the underlying economic substance here, right? It's not that you're just some somehow sending revenues back and forth between the two companies. We got people sending money every month for Chat GPT, a billion and a half monthly